Cash Management And Its Control In Small Scale Business Enterprises (a Case Study Of Al-barika Supermarket In Birnin Kebbi)

TABLE OF CONTENTS

1.0 CHAPTER ONE: INTRODUUCTIOM

1.1 BACKGROUND OF STUDY

1.2 STATEMENT OF THE PROBLEM

1.3  OBJECTIVE OF THE STUDY

1.4 SIGNIFICANCE OF THE STUDY

1.5    SCOPE AND LIMITATION OF THE STUDY

1.6 RESEARCH QUESTION 

1.7 DEFINATION OF TERMS 

2.0 CHAPTER TWO: REVIEW OF RELATED LITERATURE

2.1  IMPORTANT OF CASH MANAGEMENT

2.2 THE PROBLEM OF LITTLE CASH IN THE MANAGEMENT OF THE SMALL SCALE BUSINESS

2.3 FUNCTION OF CASH MANAGEMENT

2.4 MOTIVES FOR HOLDING CASH

2.5 REASON FOR HOLDING EXCESSIVE CASH

2.6 TOOLS FOR CASH MANAGEMENT

2.7 COST OF BEING SHORT OF CASH

2.8 THEORITICAL AND CONCEPTUAL FRAME WORK FOR CASH MANAGEMENT

2.9 INFORMATION ON SMALL SCALE BUSINESS AND OWNERS

2.10 EXISTENCE OF FORMAL CASH MANAGEMENT

2.11 EFFECT OF CASH MANAGEMENT IN SMALL SCALE BUSINESS

3.0 CHAPTER THREE: RESEARCH METHODOLOGY

3.1 POPULATION OF THE STUDY 

3.2  RESEARCH DESIGN

3.3 SAMPLE AND SAMPLING TECHNIQUES

3.4 METHOD OF DATA COLLECTION

3.5 METHOD OF DATA ANALYSIS

3.6  JUSTIFICATION OF THE METHOD USE

 

4.0 CHAPTER FOUR: DATA PRESENTATION ANALYSIS

4.1 PRESENTATION AND ANALYSIS OF DATA

4.2 SUMMARY OF FINDINGS

5.1   CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION

5.2 SUMMARY

5.3   CONCLUSION

5.4    RECOMMENDATIONS

Small scale business enterprise are the most predominant and prevalent form of business in Nigeria. They are characterized by their frequent and easy formation, and equivalent, or nearly equivalent of demise, because of meager capital involved and susceptibility to economic, which are rampant in Nigeria. 

The quota played by small scale business in a large size market, is relatively small. Yet they assure a very vital role in the industrialization of both public and private sector of the Nigeria economy should inspire any scale firms.

It is very vital that, we know what a small-scale industry is, assess the position of important attached to it in the above paragraph.  But, this has remained a point of discussion as to the yardstick with which a business is measured to say whether, it is a large or small-scale business (According to Nigeria institute of Advanced Legal Study in 2012).

Small scale business organization may be determined according to the size of capital, or according to the labor force or employment, of a business, for instance, the Central Bank of Nigeria (CBN), defined a small-scale business or enterprises whose annual turnover, ranges between #250000 to #500000 “using annual turnover as a yardstick. This definition, therefore, classifies any business whose turnover falls within this range as being a small-scale business (According to Idowu and Elekwa, small scale sector 2008).

Small business enterprises are the channel through which the good are distributed to the final consumers, through the chain of distribution i.e. from manufacturer to whole sale to the retailers, and to the final consumers. Small business enterprise varies substantially in size assortment. This offers than, in the strategies thy imposed in serving their consumers.

In Nigeria retailing activities, are quite diverse street hawkers, which hold responsibility of distribution, most of goods and services to the final user. Most of traders founds in the market may only specialize in selling general goods.

Most market, are market that are found in most of the town in West Africa prize of commodities. In the market, one fixed and one arranged on the shelves or neatly on flour spaces. Consumer’s pay cash at the counter on their way out of the supermarket.

Variety of certain stores are also among the retail outlets, then are made of shops that sell a variety of goods from omo soap, cream durable goals to the foods. Other outlets are those that consist of small shops on the side of the street or in large and open market price, in most of them are done by hanging. There are also department stores which specialized in various lines of goals.

Retail business can be classified further base on their profit margin that either high turnover margin, or low turnover high margin means the difference between the retailers net cost on the selling price to the consumer, while turnover means the rate at which average stock is sold and replaced by the supermarket type of store(Burstiner, irving.‘‘ How to run young own retail business’’ Gtadel press).

Considering modem types of retailing discount, the supermarket, may be described as how margin, high turnover and exchange the especially supermarket as high turnover and turn-over. These are either limits that operate between department store and convenes store.

Small business enterprises as a unique and important aspect of marketing system, through the sales of goods and services of consumer. The activities are the problem because it increases the value of the production since the entrepreneur most gain come from the business. Investment in current asset, which contribute to the overall objective of the firm if the retail business is efficiently managed. Apply this retail business is what we are going to bring in to the secret of cash management and controlling the investment in current assets being with cash management. Cash consist of the cash holding of current and deposit account with current account, being the most important in most business enterprises come into play for the inability to pay some bills which may lead to technical insolvent or bankruptcy.

Similarly, the presence of leverage number of slow moving items which constitutes dead investment is clear modification of these promising and profitable companies may have been under the need of substantial growth diversification or business extension but the retailers do not calculate or plan their cash need.

Furthermore, the presence of large number of slow moving item which constitutes dead investment is clear indication of unplanned cash disbursement. All these effects resulted in the general presentation bring experienced by the organization. The study will try to examine these problems and make recommendations for the possible solutions.(According to Abel Gitman 2008)

Small scale enterprises have been identified as a tool for rural development. They have taken a turn for the better sense in the past decades. The prospect for this past decade and subsequence decade is bright. The enterprising in geniality and enthusiasm of any Nigerians are great challenge to the development of the country as a whole.

To achieve this depends solely on the proper management of small scale firms, taking up to the challenges from internal sourcing of solution. This study titled “Cash management in small scale enterprises” a case study of AL-BARIKA SUPER MARKET KEBBI STATE).

1. Procedure for establishing and managing and managing small scale business

2. Good Accounting record needed for proper cash managements 

3. Internal control system as a necessity for effective and proper cash management in small scale enterprises.

4. Cash management tool in small scale business

5. Cash management practices in small business 

6. Personnel requirement for the cash management function.

1.3 OBJECTIVES OF THE STUDY

The main objectives of this project are as follows:

1. To examine the need of cash management and control in AL-BARIKA supermarket in particular and all other supermarket in general.

2. To compare the practice of cash management in supermarket and find out failure of the business

3. It is the aim of this research to find out whether AL-BARKA SUPERMARKET has been exercising it.

Secondly, the research intends to find out relationship between the supermarket effect and how an important suggestion and make solve completely.

Based on this observation this project is directed towards such specific objectives as to investigate and indentify whether supermarket have adopted any efficient cash management and control polices. The project will also toy and explain how cash bring authorized in supermarket and find out how the business culture its various strategies in cash management and its implementation. The project also aims at suggesting ways of bringing improvement into the supermarket.

Moreover, the research also out to go ahead and say something about the control in the retail business especially AL-BARIKA SUPERMARKET since it is the case study of this projet, control compromise the whole system of financial other control measures internal checks, internal control, internal audit, and all forms of control. Internal control relates to intire system of control in an organization and not limited to accounting matters for example the security office at gate of WAZIRI UMARU FEDERAL POLYTECHNIC, while searches all vehicle coming in and out so as to ensure that stolen goods are not carried out of the